Catalyzing System-level Decarbonization: An Analysis of Carbon Matching As An Accounting Framework

TL;DR

This paper introduces a mathematical framework for carbon matching in corporate accounting, using marginal emission rates to accurately allocate electric grid emissions and promote decarbonization efforts.

Contribution

It provides a novel mathematical derivation of carbon matching based on marginal emissions, including open source tools and proofs for complete emission allocation across the electric grid.

Findings

Carbon matching accurately allocates electric grid emissions.

Marginal emission rates can be calculated for all grid components.

The framework can inspire impactful decarbonization actions.

Abstract

Carbon matching aims to improve corporate carbon accounting by tracking emissions rather than energy consumption and production. We present a mathematical derivation of carbon matching using marginal emission rates, where the unit of matching is tons of carbon emitted. We present analysis and open source notebooks showing how marginal emissions can be calculated on simulated electric bus networks. Importantly, we prove mathematically that distinct emissions rates can be assigned to all aspects of the electric grid - including transmission, storage, generation, and consumption - completely allocating electric grid emissions. We show that carbon matching is an accurate carbon accounting framework that can inspire ambitious and impactful action. This research fills a gap by blending carbon accounting expertise and power systems modeling to consider the effectiveness of alternative methodologies for allocating electric system emissions.